FedEx and Microsoft Announce New Cross-Platform Logistics Solution for E-Commerce

FedEx and Microsoft today announced the next solution as part of their multi-year collaboration to transform commerce, supply chains and logistics. FedEx and Microsoft will combine the intelligence of the FedEx network with the capabilities of Microsoft Dynamics 365 to introduce cross-platform “logistics as a service” for retailers, merchants and brands.

The companies share a vision to reinvent commerce experiences for businesses so they can offer their consumers more integrated ways to shop and faster, more efficient deliveries. In today’s world of just-in-time supply chains, global commerce, and accelerating e-commerce growth, speed, flexibility, and visibility are essential. Customer needs and expectations have evolved across all industries. Together, the two companies are using tools like artificial intelligence and machine learning to extrapolate new insights from the 17 million packages that pass through the FedEx network every day to help brands deliver better customer experiences. improved.

Cross-Platform, Logistics as a Service Solution for brands

The companies announced plans to introduce a unique data integration that combines FedEx information with Dynamics 365 intelligent order management to help brands access new information and capabilities to better fulfill, ship and serve customer orders while easily integrating with their existing e-commerce platforms.

This cross-platform approach helps brands deliver modern, high-value experiences directly to their customers, including faster, more cost-effective delivery; near real-time delivery status communications; and convenient, frictionless returns with approximately 60,000 drop-off locations and printerless QR codes. For brands facing increased pressure to build affinity while managing higher order volumes, ensuring cost-effective fulfillment and reducing costly customer service calls, this new technology offers an unprecedented opportunity to leverage systems records, optimize fulfillment and deliver on their order promises with increased accuracy, while gaining a more complete view of their customer.

“Nearly two years ago, we embarked on a mission with Microsoft to transform the commerce ecosystem,”

“During this time, we have made significant progress, leveraging Microsoft Azure technology with our FedEx Surround solution, which provides critical support to enable advanced monitoring of time-sensitive priority shipments. This next phase of our collaboration will continue to connect the unparalleled supply chain insights of the FedEx network with the Microsoft Cloud to improve e-commerce experiences for brands, merchants and consumers.

Raj Subramaniam, President and COO, FedEx Corp

Dynamics 365 Intelligent Order Management uses data and AI to create an omnichannel order management application that integrates with existing enterprise resource planning (ERP) and customer relationship management (CRM) systems and can leverage an ecosystem of other order source systems such as online e-commerce marketplaces, mobile apps, and social commerce alongside traditional ordering channels like Electronic Data Interchange (EDI) or physical points of sale.

The platform is equipped with pre-built connectors to the leading tools brands are already using for omnichannel order taking, cross-channel order fulfillment and delivery, and rule-based order orchestration actions in a low-code/no-code environment that uses AI and machine learning. . Coupled with data and visibility across the FedEx network, the companies aim to empower businesses with new, innovative ways to better serve their customers.

“More than ever, it’s clear how critical a resilient supply chain is to every organization’s success in the modern economy,”

“We bring together data and insights from the FedEx network with Microsoft Cloud, starting with Dynamics 365, to help organizations accelerate their digital transformation across their entire business operations so they can empower customers to more integrated shopping, faster and more efficient deliveries.”

Satya Nadella, Chairman and CEO of Microsoft.

Empower all industries with increased logistics supply chain visibility

The two companies joined forces in May 2020 to enable businesses to be more competitive in today’s increasingly digital commerce ecosystem. The pandemic has dramatically accelerated e-commerce adoption and digital transformations for businesses of all sizes. Prior to the pandemic, FedEx forecast the U.S. package market to hit 100 million packages per day by calendar year 2026. The market is now expected to reach that mark four years ahead of schedule, growing to 110 million packages per day. in 2022 – with 86% of this growth expected to come from e-commerce.

FedEx supervision, FedEx’s first customer-centric solution built using Microsoft Azure cloud technology, is a testament to the innovation potential of collaboration and its immediate impact on how data is used in logistics. Designed to leverage millions of data points across the courier network, the FedEx Surround Platform leverages artificial intelligence, machine learning and analytics solutions to proactively monitor risk to couriers. FedEx packages along a delivery route, such as weather disruptions or traffic delays. This near real-time information provides customers with visibility into the status of their supply chain and allows them to proactively plan corrective and alternative actions that FedEx can help execute to keep a shipment on track.

FedEx Surround was deployed in December 2020 and has been instrumental in supporting the transport of the COVID-19 vaccine. The platform allowed FedEx to manage the tracking of this significant increase in the volume of priority shipments.

FedEx and Microsoft cross-platform logistics solution Availablity

Seamless integration of FedEx data with Dynamics 365 Intelligent Order Management is expected to be available to customers in the United States in the second half of 2022.

Editorial note: This message is from a company press release and may have been edited for clarity.

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